Employment Rights Bill Unveiled

The Government has introduced the Employment Rights Bill to Parliament, describing it as the “biggest upgrade to rights at work for a generation“. It contains 28 reforms which increase protection for workers, including:

• ‘Day one’ protections ‐ The existing two‐year qualifying period for protection against unfair dismissal will be removed and workers will be entitled to paternity, parental and bereavement leave from their first day on the job
• Probation ‐ There will be a new statutory probation period for new hires
• Flexible working ‐ Flexible working will become the default for all employees, unless an employer can prove it is unreasonable
• Sick pay ‐ There will be a universal entitlement to Statutory Sick Pay from the first day of illness
• Pregnancy protections ‐ Women will be protected from dismissal whilst pregnant, on maternity leave and within six months of returning to work
• Zero‐hour contracts ‐ Workers will have the right to a guaranteed hours contract if they work regular hours over a defined period.

The Government has confirmed that further detail on many of the policies in the Bill will be provided through regulations, and in some cases codes of practice, after the Bill has received Royal Assent. The Government will begin consulting on these reforms in 2025, with the majority expected to come into force from autumn 2026.

 

Construction Industry Scheme

Over the last six months, HMRC has made a number of changes to the Construction Industry Scheme (CIS), including:

• Compliance with VAT obligations has been added to the Gross Payment Status compliance test which means if businesses do not comply with their VAT requirements, then HMRC can ultimately remove or refuse Gross Payment Status
• Most landlord to tenant payments for construction work are no longer within the scope of the CIS
• There is now a digital form to register as a Subcontractor and make Gross Payment Status applications.

HMRC has produced a video for CIS Subcontractors to help them understand the scheme, including that accurate material costs must be provided when submitting an invoice.